Investing.com - The U.S. dollar was broadly higher against its major counterparts on Wednesday, as the greenback remained supported by strong U.S. manufacturing data while a string of disappointing reports from the euro zone weighed on risk sentiment.
During European morning trade, the dollar was higher against the euro, with EUR/USD declining 0.47% to hit 1.3175.
The euro weakened after official data showed that number of people unemployed in Germany increased by 19,000 in April, confounding expectations for a decline of 10,000. The country’s unemployment rate came in at a higher-than-expected 6.8%.
In Italy, official data showed that the unemployment rate unexpectedly jumped to 9.8% for March, the highest level since the current index began in 2004, from 9.3% the previous month.
Meanwhile, euro zone manufacturing data also came in worse-than-expected, with the final manufacturing purchasing managers’ index slumping to a 34-month low of 45.9 in April, down from 47.7 in March and below the preliminary estimate of 46.0.
The data showed that German manufacturing output fell at the fastest rate since July 2009, with its manufacturing PMI tumbling to 46.2, from 48.4 in March.
The greenback was steady against the pound, with GBP/USD edging up 0.02% to hit 1.6225.
Sterling remained supported after a report by Markit showed that the U.K. construction sector activity declined less-than-expected in April.
A separate report by the Bank of England showed that net lending to individuals rose by GBP1.4 billion in March, below expectations for a GBP1.5 billion rise and following a GBP1.3 billion increase the previous month.
The BoE also said that U.K. mortgage approvals rose unexpectedly in March.
Elsewhere, the greenback was higher against the yen and the Swiss franc, with USD/JPY rising 0.28% to hit 80.31 and USD/CHF climbing 0.51% to hit 0.9124.
In a report, SVME said earlier that the purchasing managers’ index for Switzerland fell to 46.9 in April from 51.1 the previous month, disappointing expectations for a rise to 51.6.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
The greenback was higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD edging up 0.09% to hit 0.9865, AUD/USD easing up 0.01% to hit 1.0333 and NZD/USD shedding 0.15% to hit 0.8140.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, rose 0.35% to hit 79.19.
Later in the day, the U.S. was to produce a report on non-farm employment change, followed by government data on factory orders and crude oil stockpiles.
During European morning trade, the dollar was higher against the euro, with EUR/USD declining 0.47% to hit 1.3175.
The euro weakened after official data showed that number of people unemployed in Germany increased by 19,000 in April, confounding expectations for a decline of 10,000. The country’s unemployment rate came in at a higher-than-expected 6.8%.
In Italy, official data showed that the unemployment rate unexpectedly jumped to 9.8% for March, the highest level since the current index began in 2004, from 9.3% the previous month.
Meanwhile, euro zone manufacturing data also came in worse-than-expected, with the final manufacturing purchasing managers’ index slumping to a 34-month low of 45.9 in April, down from 47.7 in March and below the preliminary estimate of 46.0.
The data showed that German manufacturing output fell at the fastest rate since July 2009, with its manufacturing PMI tumbling to 46.2, from 48.4 in March.
The greenback was steady against the pound, with GBP/USD edging up 0.02% to hit 1.6225.
Sterling remained supported after a report by Markit showed that the U.K. construction sector activity declined less-than-expected in April.
A separate report by the Bank of England showed that net lending to individuals rose by GBP1.4 billion in March, below expectations for a GBP1.5 billion rise and following a GBP1.3 billion increase the previous month.
The BoE also said that U.K. mortgage approvals rose unexpectedly in March.
Elsewhere, the greenback was higher against the yen and the Swiss franc, with USD/JPY rising 0.28% to hit 80.31 and USD/CHF climbing 0.51% to hit 0.9124.
In a report, SVME said earlier that the purchasing managers’ index for Switzerland fell to 46.9 in April from 51.1 the previous month, disappointing expectations for a rise to 51.6.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
The greenback was higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD edging up 0.09% to hit 0.9865, AUD/USD easing up 0.01% to hit 1.0333 and NZD/USD shedding 0.15% to hit 0.8140.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, rose 0.35% to hit 79.19.
Later in the day, the U.S. was to produce a report on non-farm employment change, followed by government data on factory orders and crude oil stockpiles.